9 EPM SAP Strategy Management How To Best Practices To Implement Now

 

Part one of SAP BW Consultings Series on the subject introduces 9 Strategy Management Best Practices to implement today.

1. Establish and use Balanced Scorecards to connect strategic objectives to operational goals while ensuring Finance is actively involved in the design and execution of the Balanced Scorecard.
   
   
2. Enable Finance to monitor the performance of the Corporation in achieving key strategic objectives for finance as well as other operational units using external and internal benchmarks.  Key Performance Indicators (KPIs) should be defined and integrated within your corporate strategy playbook.  Many clients use SAP BusinessObjects Strategy Management software to accomplish.
   
   
3. Enable Strategic Planning to cover current year planning while also developing and integrating longer term plans spanning multiple years.
   
   
4. Incorporate Strategic Plans that synthesize operational and financial measures from internal and external sources.
   
   
5. Ensure Finance monitors the performance of the Corporation in achieving key strategic objectives for finance as well as other operational units using external and internal benchmarks.
   
   
6. Assign key objectives and initiatives to individuals who then monitor and report on them.
   
   
7. Link the Strategic plan electronically and ensure it can be broken into operational and tactical goals/targets.  The SAP EPM or Enterprise Performance Management Solution provides a solid foundation for accomplishing this complex task.  SAP SSM (SAP Strategy Management) allows you to achieve corporate wide deployment of your strategy and is normally used in conjunction other components of the Performance Management System.
   
   
8. Tightly link strategic plans to tactical, operational and financial plans.
   
   
9. Provide a risk-adjusted view of performance by establishing Key Objectives and assigning both KPI and KRI measures to them.

SAP Strategy Management Should Be Part Of Your Strategy Management Solution

Accomplishing the preceding steps can be complicated, but the SAP Strategy Management solution provides a strong foundation to support you throughout the exercise and subsequent ongoing follow-up.  A great place to start this process is with a Reporting Strategy Development exercise.

 

 

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